Like any member country of the European Commonwealth, France also had its own currency before the advent of the pan-European monetary system. The French franc was the official currency of France before the introduction of European country euros, that is, until January 1, 1999. Together with the euro, it was in circulation until February 17, 2002.
The history of the French franc
The history of the French franc as the currency of France before the euro is quite long. The franc was first introduced into circulation in 1360 by the French king John II the Good in honor of his release from English captivity, into which he fell after the Battle of Poitiers in 1356. The first French coins weighed 3.87 grams.
This money was in circulation in France for almost 3 centuries until the French king Louis XIII in 1641 abolished these coins and introduced new “golden Louis” and “eku” (from French “coat of arms”). Nevertheless, people continued to use the word “franc” to name the new coins.
Times of the French Revolution
At the end of the 18th century it began in France Great Revolution. In 1795, at the National Convention, the franc was again officially restored and designated the official coin of France.
In 1800, the Bank of France is created, and the official national currency of France demonstrates its stability. Since 1803, the French franc has been based not only on gold, but also on silver, with the value of the gold franc being 15 times the value of silver coins. The stability of the gold franc was very high; throughout the 19th century and until the beginning of the 20th century, it remained one of the most reliable currencies in Europe. Beginning in 1808, the Bank of France began to issue not only coins, but also paper banknotes.
Currency of France during World Wars I and II
The stability of the gold franc was undermined by the First and then the Second World Wars. The shortage of products during the war, as well as the reconstruction of the country, which was carried out through an unjustifiably large issue of the money supply, led to inflation and a fall in the value of the French currency. Thus, the purchasing power of France's currency fell to 70% from 1915 to 1920 and to 43% from 1922 to 1926. The huge payments that Germany was obliged to make after losing the war did not strengthen the French economy.
In 1928, Raymond Puncare won the election and became Prime Minister of France. Starting this year, the Poincaré franc was introduced into circulation, which had a value of 20% of the gold franc of the early 20th century. From 1928 to 1936, the French monetary system returned to the gold standard, but the French currency continued to lose value. Subsequent Second world war, during which much of France was occupied by Germany, and the post-war period only worsened the situation to the point that in 1959 the franc was worth less than 2.5% of its value in 1936.
New franc and euro
In January 1960, due to the complete depreciation of the old banknotes, a new French franc was created, the value of which was estimated at 100 old francs. All old monetary units continued to circulate, and the abbreviation NF appeared on the new francs. This measure contributed to the relative stabilization of the national currency of France, which in the second half of the 20th century was characterized by the same slow inflation as most European countries. In 2002, when the country completely abandoned its currency and switched to the euro for good, the new French franc was worth less than 12.5% of its original value.
Many French people have a certain age category continued to carry out calculations of their monetary amounts in francs. During the period of the introduction of the euro, there was a lot of speculation in the exchange of old and new monetary units for the European currency. Starting from January 1, 1999, the French currency exchange rate was fixed: 6.56 francs gave 1 euro. To easily exchange these currencies, they use the following formula: they add exactly half to the amount of francs available, and then divide the resulting number by 10, resulting in an equivalent amount in euros with an error of 1.6%.
Note that the introduction of the euro did not lead to the complete disappearance of the franc as a valid monetary unit. It survives in the French-ruled island territories of New Caledonia, French Polynesia and Wallis and Futuna. In these territories, the so-called Pacific franc is in force, which has the following value relative to the euro: 1000 francs = 8.38 euros.
French coins
Knowing what currency was in France before the adoption of the euro, we will give a description of the French franc coins, which have very beautiful mintage. There were coins of 1, 5, 10 and 20 centimes, as well as 1/2, 1, 2, 5, 10, 20 and 100 francs. Until 1965, the 1/2 franc coin was not issued, but instead the 50 centime banknote was used. The 10 franc coin began to be issued only in 1974. Since 1966, 5 centimes have also been produced with a new design and from a new metal (aluminum bronze). Until 1966, it was minted from stainless steel.
The design of almost all coins has an agricultural theme. On metal banknotes of various values you can see images of ears of wheat and a girl doing sowing work. Only the 10, 20 and 100 franc coins show a different theme. Thus, on 10 francs the Genius of Liberty is depicted, on 20 - Mont Saint-Michel, and on 100 - the Pantheon in Paris.
French banknotes
Before the advent of the euro, the monetary circulation of France included French banknotes with the following denominations: 20, 50, 100, 200 and 500 francs. The brown 20 franc note features the famous French composer Claude Debussy, on the blue 50 note - French writer Antoine de Saint-Exupéry, the orange 100-franc note features a portrait of French artist Paul Cézanne, the red 200-franc note features the world-famous engineer Gustave Eiffel, and the green 500-franc note features scientists Marie and Pierre Curie.
There are two types of currency in use in France: the French Pacific franc and the euro. Let's try to figure out where both units operate money circulation, where is the best place to exchange currency, and also learn a little about its origin.
French Pacific franc
The named currency of France was considered valid from the end of the 14th century until February 2002. Since then, the euro has officially become the currency of France, but in some Pacific overseas territories at the moment The French franc also continues to exist.
Origin of the franc
This monetary unit of France received this name after the release of King John II from captivity during Hundred Years' War. The currency was also used as a ransom for the British. One Pacific franc is equal to ten decimes or one hundred centimes. The latter, translated from French, means a hundredth part of something. Sentim has lost its function as a small change and is practically not used anywhere, but such a currency has not been officially abolished.
Expert opinion
Knyazeva Victoria
Guide to Paris and France
Ask a question to an expertIn the mid-20th century, the French franc was officially introduced into the country's economic life by the French government.
In the post-war period, such a currency was considered unstable, so the authorities decided to link the franc with the US dollar, which had a stable position in the Pacific regions. In 5 years, the Pacific currency will stabilize and the rate will be 100 francs per 2 US dollars. Another 2 years later, the French government made a decision and designated it with a corresponding document, according to which the Bank of Indochina was deprived of all its powers in the emission policy in the French possessions in Oceania, but this was only a formality. In fact, the bank continued to operate in this region until almost the very end of the 20th century, when the Issuing Institute of French Overseas Territories was created. At the time of its creation and operation, a series of banknotes and coins were issued that are still in circulation today.
Now many subjects of the Pacific territories of France use banknotes of the same type of different denominations: 500, 1000, 5000, 10000 francs. Coins also participate in circulation: 1, 2, 5, 10, 20, 50 and 100 francs.
Saint Genevieve des Bois cemetery
CFP franc banknotes are interesting due to their unique design and bright colors. All, except for the five thousand franc banknote, have colorful images of nature, the inhabitants of the local islands and their way of life on the obverse and reverse. On the five thousand dollar bill there is a portrait of Bougainville with drawings of ships and sailing ships.
currency of France
Interesting fact
In New Caledonia and Wallis and Futuna, the coins differ from the Polynesian coins in design, but are still accepted as legal tender. Coins from New Caledonia feature bird designs, while coins from Polynesia feature palm trees and memorable island locations. The obverse of coins, including 1 to 10 francs, contains an outline national symbol France - Marianne. Higher denomination coins proudly bear its bas-relief profile. The material for making coins is most often aluminum, and 100 franc coins are made from an alloy of nickel and bronze.
Not only the main circulating coins, but also their commemorative and collectible brothers act as a means of payment. They also apply to all subjects of the French Pacific territory.
Exchange currency for francs
Travelers and guests of the constituent entities of the Pacific territories of France can exchange currency only in large cities - administrative centers, in banks and exchange offices located there. You can also make an exchange at airports, train stations, hotels and even in some hypermarkets.
Today's currency of France
France, like other 18 countries, is located in the eurozone, and the currency is the euro. One euro includes 100 euro cents.
Administrative divisions of France
Banknotes in denominations of 5.10, 20, 50, 100, 200, 500 euros and coins in denominations of 1, 2, 5, 10, 20, 50 euro cents participate in economic circulation; 1 and 2 euros.
Where does the name of the currency and its symbol come from?
The euro is the common currency for all 19 eurozone countries. It was decided to rename the new currency in 190 during the convening of a planned meeting of the Council of Europe in Madrid. Visually, the euro sign is a copy of the epsilon. The letter E stands for Europe. Pay attention to the two vertical parallel lines - they indicate the stability and indestructibility of the currency.
Currency exchange in France
In this regard, the euro is much more convenient and currency exchange will not be difficult for any tourist. In France, you can exchange brought currency for euros in many establishments - at a bank, post office, hotel, airport and large supermarkets. Special attention exchange offices deserve “bureaux de change”, since most often they do not charge a commission. But the exchange rate and the commission charged are not the same: it happens that a high commission percentage is compensated by a good exchange rate, and vice versa. If a bank has been chosen as the exchanger, then anyone wishing to change currency is charged a fixed amount - approximately 3-5 euros per operation. The situation with the exchange of US dollars in the country recent years is deplorable due to the high commission (up to 10%).
Opening hours of banking institutions in France
Banks in most of France provide services from Tuesday to Saturday until 17.00, including lunch breaks. In the capital, banks operate without interruption and are open from Monday to Friday, also until 17.00. Exchangers serve tourists for 2 hours longer and most often from Monday to Saturday from 18.00. During holidays, operating hours may change (in most cases, the working day will be limited to until lunch) or banking institutions will not be open at all. The situation on such days is not entirely stable, so you can once again make sure that currency exchange needs to be thought out in advance, and it is better to carry out this operation in your homeland.
When planning a visit to financial institutions and currency exchange offices, keep in mind that the average bank is open from 10 a.m. to 5 p.m., and exchange offices are usually open from 9 a.m. to 6 p.m. Changing currency in France is less profitable than in the Russian Federation, so you should think about the exchange in advance and take euros with you, not dollars or rubles. The most profitable ones are French exchangers with a “no commission” sign, but they are rare.
When entering the country, you are required to declare large sums cash, over 10 thousand euros. This amount includes not only banknotes, but also bills, traveler's checks, shares and other securities.
Payment credit card can be done in a store, restaurant, gas station, or even in a taxi. You can’t do without cash except when buying something second-hand, for example, at a flea market.
It is best to take a card with the main currency Euro. When paying with ruble and dollar cards, money is lost on conversion and commissions.
Almost any card, credit or debit, in dollars, euros or rubles is suitable for payments. But problems may arise with structurally and morally outdated bank cards with magnetic stripe. Not all stores can be used with such cards; problems may arise with paying at automatic gas stations or with getting cash from an ATM.
French commemorative coins
By 2016, EU countries had issued about 250 different commemorative two-euro coins. France did not stand aside either. General view coins, with the exception of the image in the central part of the obverse, are unified. All of them are minted with a diameter of 25.75 mm, a thickness of 2.2 mm and a weight of 8.5 grams. Headband and inner part The banknote is made from different materials.
The outer part, with the EU stars, is made of copper-nickel alloy (75% copper, 25% nickel), the inner part, with the main image, is made of nickel brass, with the addition of zinc (75% copper, 20% zinc, 5 % - nickel). The rim turns out to be “silver”, and the core is “golden”, since zinc gives the alloy a golden color.
Do not confuse commemorative coins with commemorative coins. If the latter are minted using precious metals (silver, gold and platinum), are produced in small quantities and initially have both a higher cost and a significantly higher sales value, then commemorative coins are issued in significant editions and reach numismatists and souvenir hunters more modest price, from face value to 5-6 euros maximum.
The circulation of commemorative banknotes usually ranges from one million to 20 million copies. This indicator does not significantly affect the price of coins. Conventionally, all coins can be divided into “specialized”, local French and pan-European or global.
“Local” banknotes, as a rule, are issued in smaller quantities. Thus, 2 euros for the centenary of the birth of Abbot Pierre or 150 years since the birth of Pierre de Coubertin were issued in the amount of one million copies. The circulation of coins for the tenth anniversary of the economic and monetary European Union, for the 50th anniversary of the Treaty of Rome and for the tenth anniversary of the euro is 10 million copies. Other banknotes dedicated to pan-European and global events and anniversaries are also minted in quantities of 10 to 20 million.
Some coins are distinguished by the presence of a national component, but have a more global significance. This is 2 euros for the 70th anniversary of Charles de Gaulle’s address “To all Frenchmen”, 30th anniversary of Music Day in France, 50th anniversary of Franco-German friendship. All of these coins were issued in mintages ranging from 9,400,000 to 10,200,000.
Visually, French commemorative money looks quite attractive, from the image of the charismatic mustachioed Pierre de Coubertin or the bearded Abbé Pierre to the usual inscription, without a design, on the 2008 coin “French Presidency of the EU” and a sketchy image of a man next to the euro symbol on the coin in honoring the tenth anniversary of the monetary union of European countries.
French franc from 1795 to 2002 - the main monetary unit of France. Already on February 17, 2002, the French franc ceased to exist, like , and was completely replaced by the euro.
There are 10 decimes or 100 centimes in one franc.
Origin of the franc
The name of the monetary unit, unlike a number of other currencies, did not come from a measure of weight. From the beginning of 1360, the French franc already existed as a currency. The gold coin “franc” received its name thanks to the main enemy of France at that time – England. Translated from French"franc" means "free". This name was given in honor of the release of King John II from captivity during the Hundred Years' War. At the same time, the currency was useful for ransoming the British.
There is a second version of the origin of the word “franc”. Scientists have found its roots in Latin phrase"FRANCORVM REX", meaning "king of the Franks". This phrase was often printed on coins even before the appearance of the monetary unit.
History of the franc
The history of French currency dates back to the 14th century:
1360- The first gold franc was minted. The main impetus for the release of new money was the release of John the Good from English captivity. The coin was called the “horse franc”. On the obverse there was an image of a king with a sword. The weight of the coin was 3.885 grams. One franc was equal to the Turkish lira and 240 deniers.
1365- the minting of a new coin began - the “foot franc”, on the obverse of which a king was depicted standing in one place. The weight of the new coin was less and was about 3.8 grams.
1461- the end of the reign of Louis XI, after which the era of new coins began - gold ecus.
1575– the French franc was minted from silver. The weight of the new coin was 14.188 grams. For one such coin you could get 240 dinniers, 20 soles or one livre.
1586– the production of the silver franc ceased, but some coins continued to be minted until 1642.
By the middle of the 17th century The silver franc went out of circulation and was replaced by the silver ecu.
1799- Napoleon's rise to power. It started working under his leadership. Annual revenues to the treasury from taxes amounted to almost 660 million francs.
1801– managed to reduce the budget deficit to a minimum level and cover part of the public debt.
1803- the first new francs were issued, which maintained their price until 1914. The gold content size was 0.2903 grams. At the same time as the new franc, the old louis d'or was replaced, which was replaced by an updated coin - the louis d'or.
1848– the financial crisis, as a result of which the so-called “forced exchange rate” was introduced. From this point on, banking institutions could refuse to exchange banknotes for coins. At the same time, free was replaced by legal when individuals and financial institutions pledged to take paper bills as a means of making payments.
1850– “legal” and “forced” courses were abolished.
1865- Latin created. The initiator is France. It included four states - Switzerland, Italy, Belgium and France. It was agreed that the currencies would be brought to the so-called “bimetallic” standard. From this year, the ratio of silver to gold became 15.5 to one, that is, for every 4.5 grams of silver there was 0.29 grams of gold.
1868- joining the union of Greece and Spain.
1869– accession to the union of San Marino, Serbia, Bulgaria and a number of other states.
1870- the beginning of the war. Both courses (legal and compulsory) have been reintroduced.
1873– the price of silver fell, so the issue of silver coins had to be abandoned. In essence, there was a smooth transition to the gold standard.
1885– the Russian imperial (15 rubles) was equal to 40 francs, and the semi-imperial (7.5 rubles) was equal to 20 francs.
1906- the production of the 100 franc coin began.
1914- the first bills of five, ten and twenty francs appeared; exchange for coins was prohibited.
1920– The Latin Monetary Union collapsed, but on paper it ceased to exist seven years later, in 1927.
1928– the exchange of paper francs resumed again.
1929- the beginning of the financial crisis. Financial system based on the gold standard was destroyed.
1936– exchange for gold has been completely stopped.
1939– a monetary union (franc zone) was formed.
1942- the beginning of the release of new coins ranging from five centimes to five francs.
1944– new banknotes in denominations ranging from two to five hundred francs are in circulation. The exchange rate to the dollar is 50 francs.
1948- the beginning of the implementation of the Marshall Plan. In the same year the franc occurred.
1950– new coins with denominations of up to 100 francs and a banknote of 10,000 francs were introduced. An agreement was reached on the continuation of the franc zone.
1958– the franc to dollar exchange rate reached 420. A decision was made to carry out a new devaluation.
1960– a stable franc was introduced. Laos, Guinea, Syria, Lebanon, Cambodia and a number of other countries left the “franc zone”.
1962– Mali left the franc zone.
1963- the monetary unit began to be called the franc (without the prefix “new”).
1968– capital flight from the country led to a sharp decline in gold and foreign exchange reserves.
1969 - devaluation of the franc, the rate fell from 4.9 to 5.55 francs per dollar.
1970– The European Community introduced a new international currency, the ECU, which played the role of a means of payment in parallel with the franc.
1973– Madagascar and Mauritania left the “franc zone”.
Since 1962, various French coins have been issued, many of which remained in circulation until recent days.
Also, since 1960, banknotes have been issued in denominations from 5 to 500 euros.
1999– the euro came into circulation. The new currency circulated in parallel with the euro.
2002– the French franc went out of circulation. At the same time, the exchange of ecus for euros was carried out.
Switching from franc to euro: consequences
Until 16:30 on February 17, 2012, everyone could exchange their out-of-circulation French francs for euros. On February 18, 2012, France went out of circulation. French francs became of interest only to collectors.
Official exchange rate at the time of transition– 6.55957 francs per 1 euro:
- for 20 francs – 3.05 euros;
- for 50 francs – 7.62 euros;
- for 100 francs – 15.24 euros;
- for 200 francs – 30.49 euros;
- for 500 francs - 76.22 euros.
All French francs withdrawn from circulation were collected, pressed and burned.
On the first day, the country's ATMs and banks dispensed hundreds of millions of euros in cash. But the French delight quickly gave way to disappointment. Food prices have increased significantly compared to the level of December 31 last year. But this was only a small fly in the ointment.
Consequences of switching to the euro:
The European Central Bank established its work, which pursued a uniform policy for all EU countries. But the ECB's activities have been repeatedly criticized. In particular, a number of countries were required to increase interest rates(Portugal, Spain and Ireland). France was among those countries that were forced to reduce the rate. As a result, business growth rates fell. Subsequently, the transition to the euro led to an increase in the unemployment rate;
- the fixed policy has changed. Now the budget deficits of each country were clearly regulated by an agreement between the countries (the Stability and Growth Pact). The participants' task is to maintain a low budget deficit. For France, this was a blow, because an increase in the budget deficit could stimulate the economy. In turn, financiers calculated that reducing the budget deficit to 1% of GDP leads to a decrease in economic growth rates by almost two percent;
- the volume of investments in shares has increased, which had a positive impact on the work of French companies and the overall economic growth of the country;
- French export volumes increased and against the backdrop of investor interest in the European currency;
-growth of public debt to GDP continued after the transition to the euro. The introduction of a single currency only made the situation worse;
- active inflow of funds intensified into the country's banking system, which contributed to the growth of consumer spending. Thus, the transition from the French franc to the euro in some way saved the country from the economic recession of 2002;
Decreased by more than two times.
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Pacific overseas territories of France- a number of archipelagos and island groups in the South Pacific Ocean. They include New Caledonia island with adjacent islands and reefs, Wallis and Futuna Islands And French Polynesia.
New Caledonia Island with a group of small adjacent islands and reefs (in official sources it sounds like an overseas special administrative-territorial entity of France New Caledonia) is located in the southwestern part of the Pacific Ocean, called Malanesia.
The island of New Caledonia does not have land borders with any of the states or territorial entities of the region, which in itself is quite natural, but it has quite a lot of sea borders according to the division of maritime economic zones. Thus, in the southwest it has borders with an economic zone, which is created and defined by the remote islands that belong to it, territorial waters adjoin to the north, and Fiji to the southeast.
The territory of New Caledonia is hilly and mountainous, which indicates the volcanic origin of the island. The coast is heavily indented by coral reefs, part of a fairly extended reef ridge. The area of New Caledonia exceeds 18 thousand square kilometers.
The population of New Caledonia and the adjacent Loyalty Islands is more than 230 thousand people. By ethnic composition The population of the island is divided into Malanesians (Kanaks), Europeans (mainly immigrants from France) and other nations and nationalities. Kanaks predominate on the island - more than 42% of the total population and Europeans - about 37%. The official language is French, but about thirty other languages and dialects of the indigenous population are spoken on the island.
The administrative center of New Caledonia is the city of Noumea, located in the southwestern part of the island and having a population of more than 91 thousand inhabitants. You can also highlight two other towns in importance, which are the centers of the island’s provinces - Kone and Ve.
The history of the island of New Caledonia begins in 1774, it was during this period that it was discovered by the British navigator James Cook, who named it by the ancient name of Scotland, where the navigator himself was from. In 1853, France declared the island its colonial possession and used it extensively long time to expel dangerous criminals. In 1946, France granted New Caledonia the status of a French overseas territory, which it still has today.
Wallis and Futuna(found in English sources Wallis and Futuna, but officially it sounds like Territory of Wallis and Futuna Islands) is a territorial union of the island group of two archipelagos Wallis (Uvea) and Futuna (Horn) in the South Pacific Ocean, belonging to France.
This territorial entity has a common maritime border dividing economic zones in the north with, in the east - with and Eastern (American) Samoa, in the southeast direction - with, in the south - with.
The formation area consists of two groups of islands of coral and volcanic origin: the Wallis archipelago, consisting of the large island of Uvea and a number of smaller islets and reefs, and the Futuna archipelago, consisting of the two larger islands of Futuna and Alofi and small coastal reefs. The landscape of the islands is mostly hilly, the coastline is replete with coral reefs. The total land area of the Wallis and Futuna territorial unit is just over 270 square kilometers.
Only two islands from this territorial association are considered inhabited - these are Futuna and Uvea, the total population is slightly more than 13 thousand people. In terms of national and ethnic composition, the overwhelming majority (96%) are Polynesians (Wallis and Futuans), while Europeans (mainly French people from New Caleidonia) account for a little more than 1% of the total population. The official language is French, but the majority of the population speaks languages and dialects of the Polynesian group.
The administrative center of the territorial entity Wallis and Futuna is the port town on the island of Uvea - Mata Utu (population approximately 1,100 people), others major cities not on the islands.
The islands of Futuna and Alofi were discovered by Dutch navigators William Schouten and Jacob Lemer in 1616, who named them the Horn Islands in honor of their hometown. In 1776, the island of Uvea was discovered by an English military expedition led by Samuel Wallis, who named this group of islands in his honor. In 1886, France established a protectorate over the islands. In 1917, all the islands of the two archipelagos were declared a colony of France with the administrative center of possession in New Caleidonia. The islands received the status of an overseas territory in 1961, and since 2003 they have been an overseas community of France.
French Polynesia(in official sources it is listed as Overseas Community of France French Polynesia listen)) is a territorial entity that is part of the country of France and is located in the geographic center of the South Pacific Ocean. It has maritime borders according to the division of maritime economic zones in the western part (the economic zone is determined by the coastal waters of the Cook Islands, which belong to New Zealand), in the north-west direction - with Kiribati, in the south-east - with the waters of the Pitcairn Islands community.
The territory of French Polynesia consists of a number of archipelagos, predominantly of coral origin, consisting of coral reefs and atolls. It includes the archipelagos of Tuamotu (with the adjacent Gambier Islands), Society and Marquesas Islands and the Tubuai Islands. The total land area of French Polynesia is just over 4 thousand square kilometers.
Many of the islands of the above archipelagos are uninhabited even at the moment; the entire population, which is just over 280 thousand people, is concentrated on large strategically important islands. The ethnic composition of the islands is dominated by Polynesians, who make up about 78% of total number, the islands are also home to Chinese immigrants, who make up about 15%, as well as immigrants from Europe, Australia and New Zealand. The official language is French, but quite a lot of island residents speak Polynesian dialects.
The administrative center of French Polynesia is the port and resort town of Papaete, located on the very large island of this territorial entity - Tahiti. There are no other large and significant cities on the islands.
The history of French Polynesia for Europeans begins with the discovery of one of the islands of the Tuamotu archipelago by Magellan's expedition in 1521. This was followed by the discovery of the Marquesas Islands in 1595 by a Spanish expedition led by Alvaro Mendaña de Neira, in 1606 the island of Tahiti was discovered by a Spanish expedition under the command of Pedro Fernandez de Quiros, the Tubuai archipelago was discovered by J. Cook in 1777 during his second expedition, the most The Gambier Islands were the last to be discovered in the territory in 1797 by a British brig under the command of Wilson. At the beginning of 1842, France declared the island of Tahiti its protectorate, and by the end of the same year the same was done in relation to the Society Islands, Tuamotu, Tubuai and the Marquesas Islands. With the further expansion of France in this part of the Pacific Ocean in 1880, the protectorate was abolished and these territories began to be considered colonies of France. In the aftermath of World War II, at the beginning of 1946, the islands of French Polynesia received the status of overseas territories of France, and their inhabitants were recognized as French citizens. In 2004, French Polynesia became an Overseas Community of France, which remains the case to this day.
At the moment, the Pacific overseas territories of France have a more or less stable economy, which is based on the mining industry (New Caledonia) and tourism, which is the main source of income for the territories.
The current currency of the French Pacific Overseas Territories is French Pacific franc or, as they are also popularly called, CFP franc with the French abbreviation CFP, which stands for Colonies françaises du Pacifique (Pacific French Colonies), in lately The abbreviation CFP stands for Change Franc Pacifique, which in translation means Pacific exchange franc, in the literature there is also such a name for this currency as Polynesian franc(XPF code 953). The name of the territories' currency comes from the name of the ancient monetary unit of France, which, due to their political dependence on the metropolis, is quite understandable.
The CFP franc was introduced by decree of the French transitional government, which was dated September 26, 1945. Since in the post-war period the French franc, which was in circulation in the metropolis, was extremely unstable and unstable, it was decided to tie the introduced currency to the US dollar, which played a significant role in the Pacific region in the post-war period. By the end of 1949, a stable exchange rate of the CFP franc to the US dollar had been established, which was 50 francs per 1 US dollar. In 1948, the French government adopted a law, initially of a declarative nature, which deprived the Bank of Indochina of issuing functions in the French possessions in Oceania, but in fact the Bank of Indochina carried out an emission policy in this region until 1966-67 until its creation by law of December 22, 1966 The Emission Institute of the French Overseas Territories, which was finally organized and formed in April 1967. It was then that a series of banknotes and coins were issued, which are still in circulation today.
Now the CFP franc is tied to the euro by the principle of currency parity, and after its introduction in 2002, a rate was established that is still in effect today: approximately 8.4 euros per 1000 CFP francs.
1 French Pacific franc is divided into 100 centimes. Translated from French, “sentim” means a hundredth part of something. It is worth noting that the centime has not been used as a small change for a long time, due to its insignificant cost, but it has not been officially canceled by the issuing institute.
Currently, in all subjects of the Pacific overseas territories of France, banknotes of a single type are in circulation in denominations of 500 (five hundred), 1000 (one thousand), 5000 (five thousand) and 10,000 (ten thousand) CFP francs. Also in circulation are coins in denominations of 1 (one), 2 (two), 5 (five), 10 (ten), 20 (twenty), 50 (fifty) and 100 (one hundred) CFP francs.
CFP franc banknotes are distinguished by their original design and variegated colors, characteristic of the national ornaments of the inhabitants of Polynesia. The front and back sides of the banknotes are colorfully depicted local residents and them everyday life and the nature of the islands. An exception is the CFP five thousand franc banknote, which features a portrait of Buggenville with drawings of ships and sailing ships on both the obverse and reverse. The denomination of banknotes in digital format is depicted in the upper left and right corners of the bill, and in literal expression– in the center of the obverse of the bill with a slight shift to the left.
All CFP franc notes were printed at the factories of the French National Mint.
It is worth noting an interesting fact: the coins that are in circulation in New Caledonia, as well as Wallis and Futuna, differ in reverse design from the coins of French Polynesia, although they are accepted as legal tender equally in all subjects of the Pacific overseas territories of France. Thus, on the reverse of New Caledonian coins a bird is depicted, and on the obverse of Polynesian coins there are palm trees and memorable places islands. The obverse of all coins of denomination up to 10 francs inclusive is decorated with the image of the national symbol of France - Marianne (Liberty) in full height with a torch and a horn of wealth, and on coins of higher denominations - her bas-relief profile. Almost all coins are made of aluminum, except for the one hundred franc coin, which is made of a nickel-bronze alloy.
In addition to the main circulating coins, each subject of these territories has issued a lot of commemorative and collection coins, which are also accepted as a means of payment. In particular, they are curious commemorative coins, issued by Wallis and Futuna Islands Territory.
All coins in circulation in the French Pacific Overseas Territories were and continue to be minted by the French National Mint.
Tourists and guests who arrive in any subject of the Pacific overseas territories of France can exchange their cash currency for local currency only in major cities, which are administrative centers where bank branches and exchange offices operate. Guests and tourists should look for them at airports, hotels and large supermarkets. The commission of banking institutions here for currency exchange is 5%.